Lifestage-Targeted Products Offer Growth Opportunities In Pet Food Market .

Pet food manufacturers may be missing opportunities to grow lifestage-targeted products, such as puppy food and senior food, according to a new study by Information Resources, Inc. The study found that both product groups have relatively low penetration rates among target households. In fact, the majority of puppy (under age one) and senior (over age seven) dog households purchase regular adult dog food.

“Pet food manufacturers have been highly focused on innovation over the last several years. This strategy has paid off as specialty dog foods, including large breed and reduced calorie formulas, are growing at 10 percent a year, versus a flat dog food market overall,” said Ed Kuehnle, IRI Group President for North America. “However, our study suggests that additional growth opportunities are possible among existing product lines in the puppy and senior food markets through education and awareness campaigns regarding product benefits for each lifestage.”

In the latest of its series of thought leadership studies focusing on significant trends in the consumer packaged goods (CPG) industry, IRI found that:

— During puppies’ first year of life, puppy food penetration is only 37 percent in the first month and steadily dwindles to 11 percent by the end of the first year

— Among senior dog households, only 10 percent of dog food expenditures are on senior dog food

— Consumers with dogs at all lifestages are purchasing multiple dog food brands. IRI’s analysis indicates that the propensity to purchase multiple brands is not driven by promotion. Consumers are seeking variety and/or trying the numerous new products introduced each year

— While quality and premium products are important for a growing segment of consumers, there are a significant number of price-conscious consumers, as well, as evidenced by the fact that private label products have made inroads at all lifestages

“With new product proliferation, channel expansion by major brands, an increasingly demanding consumer, and slow overall growth, competing in the pet food market has become more challenging,” added Kuehnle. “Getting underneath consumer purchase trends and drivers with high quality data tracking and advanced analytics is essential to maintaining a competitive edge.”
About the Study

For its “IRI Insights On Pet Food Purchase Behavior by Lifestage” study, IRI identified age of pets among members of its proprietary Shoppers Hotline(R) panel and then analyzed purchase behavior among puppy, adult and senior dog households, defined as follows:

— Puppy households = one puppy (under age one) and no other dogs

— Adult dog households = one or more adult dog (over age one) but no puppies

— Senior dog households = one or more adult dog over age seven but no younger dogs

For more information at http://www.infores.com